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Place (Distribution) (Channel Functions (Matching the products with the…
Place (Distribution)
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Channel Management
Motivating channel members (i.e: lower marginal costs, share advertising expense, ...)
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Selecting channel members (based on experience, reputation, growth, ...)
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Logistics
Inventory: higher inventory levels increase customers services but also increase company costs (more details are in ppt)
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Transport (water, rail, road, air, electronic)
Information: gather information about inventory, warehousing and transport in order to maximize the profits and minimize the costs
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Channel Organization
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Vertical marketing networks (a unified network of producers, wholesalers and retailers working together in order to meet customers' wants and needs)
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Corporate (a company that perform manufacturers, wholesalers, retailers tasks, for example: Zara)
Administered (a big brand like Coca Cola will have a power to set a price and style for retailers to sell their products to customers)
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